Tornado Cache developer could face 64 months in prison
Key Takeaways
- Dutch prosecutors have sought 64 months in prison for Tornado Cash developer Alexey Pertsev on money laundering charges.
- Pertsev’s arrest comes after the United States blacklisted Tornado Cash.
- The judge’s final ruling is expected to come out on May 14.
The Dutch prosecutor’s office recommended the following: Alexey Pertsev was sentenced to 64 months in prison; Developer of cryptocurrency mixer Tornado Cash.
Pertstev was accused of: Conceals criminal funding flows and facilitates $1.2 billion in cryptocurrency laundering. Via Tornado Cash from July 2019 to August 2022.
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The trial was held for two days. Court of ‘s-Hertogenbosch in the Netherlands.
In August 2022, the U.S. Treasury blacklisted Tornado Cache, alleging that the mixer was involved in the following activities: multiple money laundering schemes; It also includes supporting North Korean hackers called the Lazarus Group, which laundered more than $600 million from the Axie Infinity Ronin Network.
Pertstev was arrested shortly afterwards. Provided by the Financial Intelligence Unit (FIOD), which is responsible for investigating financial crimes in the Netherlands. FIOD stated:
The investigation found that at least $1 billion worth of cryptocurrencies of criminal origin passed through this mixer. It is suspected that the people behind this organization have made large profits through these transactions.
The judge’s final ruling in this case is expected to be issued on May 14.
An investigation is also underway into Tornado Cash co-founders Roman Storm and Roman Semenov. Storm’s trial is scheduled for September, but Semenov’s is still on trial.
The wider implications of this trial highlight the need for a balanced approach to foster innovation while ensuring regulatory mechanisms are in place to prevent such financial crimes.
With a master’s degree in Economics, Politics, and Culture in East Asia, Aaron wrote a scientific thesis analyzing the differences between Western capitalism and collective capitalism after World War II.
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